(a) Criteria for calculating the difference ratio of reported income and mine income, which are the requirements for qualification approval for a green reporting corporation;

(b) The propriety of the calculation of the difference under the preceding paragraph by calculating the difference in the amount of tax base returned or corrected, even though the amount of tax base is a negative figure.

A. In calculating the difference between reported income and pit income, which is a requirement for approval of qualification for a green reporting corporation under Article 26-4 subparagraph 1 of the former Corporate Tax Act (amended by Act No. 3270 of Dec. 13, 1980), the difference between reported income and pit income shall always be based on the tax base amount, and the difference shall not be calculated based on the income of each business year.

B. The difference ratio between reported income and pit income as a requirement for qualification approval for a green corporation is merely to measure the degree of loyalty in the return, and the difference ratio between reported income and pit income, which indicates the degree of loyalty in the return, can be calculated by the absolute adjustment of the amount of tax base returned or pit income, regardless of the amount of tax base determined by the definition of the person whose amount of tax base returned or pit tax base is all the amount of tax base, i.e., the amount of tax base returned or pit tax base, i.e., the amount of tax base returned or pit tax

Article 26-4 of the former Corporate Tax Act (amended by Act No. 3270 of Dec. 13, 1980)

Jeonbuk Bank, Inc., Counsel for the defendant-appellee

Head of the Jeonju Tax Office

Gwangju High Court Decision 85 Gu6 delivered on November 21, 1985

The appeal is dismissed.

The costs of appeal shall be borne by the plaintiff.

The grounds of appeal are examined.

According to the reasoning of the judgment below, when the plaintiff bank that was a green corporation under the former Corporate Tax Act reported the difference between 1980.20 and 1979 corporate tax, the amount of 1,07,876,50 won as income for each business year, and 23,694,98 won as income for 1,000 won for 1,00 won for 1,000 won for 2,00 won for 1,000 won for 2,000 won for 1,000 won for 2,000 won for 1,000 won for 3,000 won for 1,000 won for 9,000 won for 2,000 won for 1,000 won for 3,00 won for 1,637,000 won for 1,000 won for 9,000 won for 1,57,000 won for 1,000 won for 97.

According to the provisions of Article 83-2 of the former Enforcement Decree of the Corporate Tax Act, the amount of income reported under Article 26-4 subparagraph 1 of the Act shall be the amount of tax base reported by the corporation, but if any income that does not meet the tax base is included in the amount of tax base, the amount excluding the amount of tax base. The purport of the above provision is that the amount of tax reported shall be the amount of tax base when the corporation returns the amount of tax base after deducting the non-taxable income, tax-free income, and all kinds of income deductions under tax-related Acts from the income of each business year of the corporation, although the amount of tax base is the original tax base, the amount of tax base after deducting the amount of tax deduction from the amount of tax base is the amount of tax base, and it shall not be construed to the purport that the amount of tax base shall be the amount of tax base reported for each business year other than the amount of tax base if the amount of tax base is included in the income of non-taxable income in each business year. In the calculation of the difference between reported income and pit income under Article 26-4 subparagraph 1 of the same.

Therefore, in the case where it is obvious that the plaintiff reported the amount of non-taxable income and the tax-exempt income as the tax base amount of corporate tax in each business year, the difference rate is calculated based on the tax base amount reported by the plaintiff and the tax base amount corrected by the defendant. It cannot be said that there is an error of law by misunderstanding the legal principles as pointed out.

However, even according to the above determination of the court below, since each business year's income amount for the plaintiff bank falls short of the aggregate of non-taxable income and non-taxable income in 1979 and 1980, and the tax base amount is deducted from the amount of income for each business year's business year's non-taxable income, tax exemption income, and tax credit amount under each tax law, it is clear that the tax base amount reported by the plaintiff is all of the tax base amount and the amount of tax credit amount for the plaintiff's business year's tax base amount, the court below's decision is erroneous in finding that although the tax base amount reported by the plaintiff is of a negative figure, it is merely to measure the difference between the reported income and pit income as a requirement for qualification approval of green corporation's return, and it is merely that the difference between the reported income and pit income can be calculated as an absolute value of the tax base amount reported or corrected in the amount of tax base amount, regardless of its definition or e.g., the tax base amount determined by the plaintiff bank of this case's tax base amount cannot be accepted.

Therefore, the plaintiff's appeal is dismissed, and the costs of appeal are assessed against the losing plaintiff. It is so decided as per Disposition by the assent of all participating Justices.

Justices Kim Jong-sik (Presiding Justice)